Morrisons Supermarket: Vision, Leadership, and Strategic Analysis

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CONTEXT OF BUSINESS

Contents
INTRODUCTION...........................................................................................................................1
LO1: UNDERSTAND THE DYNAMIC AND CHANGING NATURE OF BUSINESS AND
THE CONSIDERATION OF THE FUTURE OF ORGANISATIONS WITHIN THE
GLOBAL BUSINESS ENVIRONMENT.......................................................................................2
LO2: IDENTIFY THE NEED FOR INDIVIDUALS AND ORGANISATIONS TO MANAGE
RESPONSIBLY AND SUSTAINABLY AND BEHAVE ETHICALLY IN RELATION TO
SOCIAL, CULTURAL, ECONOMIC AND ENVIRONMENTAL ISSUES.................................5
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7
INTRODUCTION
In today's modern world doing business globally has become easier than before. The

CONTEXT OF BUSINESS
Assignment 2

Contents
INTRODUCTION...........................................................................................................................1
1. INTRODUCTION OF MORRISONS.........................................................................................2
2. VISION, LEADERSHIP STYLE, AND MANAGEMENT PRACTICES AND VARIOUS
STRATEGIES OF MORRISONS...................................................................................................2
3. DEVELOPMENT OF APPROPRIATE POLICIES AND STRATEGIES.................................6
4. RECOMMENDATION AS AN IMPROVEMENT IN THE COMPANY.................................7
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
In today's world, the business is getting more important and it is expanding day by day. And to
manage the business properly it is very important to apply the correct leadership style and make
the implication of various strategies for the success of an organization (Vom Brocke, et al.,
2016). In this assignment, there is the discussion of one of the leading retail firm of UK called
Morrisons. This assignment would discuss the vision, leadership style, management practices
and various strategies of Morrisons and how these have been achieved and implemented in the
company. It will also discuss the recommendations for the improvement of the company and
what are the various strategies can be taken for the improvement.

1. INTRODUCTION OF MORRISONS
Morrisons is a retail firm of UK which was founded in 1899 by William Morrison. The William
Morrison has started it with the stall of egg and butter in Rowson market of Bradford, England.
In 1952 Ken Morrison the son of William Morrison took over the company and opened the small
shop in the city center. In 1961 the company opened its first supermarket store in Bradford and
today it is having 500 stores across the UK and it is the fourth largest supermarket chain of UK
(Morrisons, 2019).
EXECUTIVE SUMMARY
Morrison is engaged in the operation of a retail supermarket and offers various products like
World Food, Food to Go, etc. It serves across the UK with 500 stores and also provides the
online home delivery service. It does the business of mainly food and grocery and it captures 155
market shares in grocery market of UK as across 11 million customers pass through the doors of
the company every week. Its subsidiary includes Erith Pier Company Ltd., Bos Brothers Fruits,
and Vegetables, Neerock Farming Ltd., etc (Morrisons, 2019).
2. VISION, LEADERSHIP STYLE, AND MANAGEMENT PRACTICES AND VARIOUS
STRATEGIES OF MORRISONS
Vision of Morrisons
The mission and vision of the company are contributing to the creation of brand new industries
and products by a unique strategy of marketing and sales. And it wants its existing stakeholders
to enjoy the services and new one wish to join.
Leadership style and management practices
Morrison follows the opportunistic and autocratic leadership style because it is
continuously seeking for good opportunities to expand its business and practicing to open
various new stores in a good location. And to grab all the opportunities it is focusing on
the opportunistic style of leadership. And it is also following the autocratic leadership
style because for the expansion and sudden changes in the business it is needed to take

the quick decisions. And to have proper control over the processes and operations of a
company it is adopting the autocratic leadership style (Fazal Haleem and Muhammad
Jahangir, 2017).
To improve the effectiveness of the work system and to achieve the goals and objectives of the
company Morrisons applies the various management practices which are discussed below:
 Systems: Morrisons is improving its Information Technology, Accounting, HR,
Financial, Distribution, and EPOS system in order to increase the efficiency in work.
 Introducing new technology: Company is introducing the new technology for the
enhancement in the operations of the company.
 Empowering and training staff: For the smooth running of the organization, the
company is empowering and giving training to its staff to increase the effectiveness of the
work. And the installation of the new technology required training for its implementation.
 Effective communication: The management of the company communicate the goals and
objectives of the company and maintain the clear and continuous communication process.
 Strategic Planning: For the long term benefits of the company the management do the
proper strategic planning in order to achieve the goals and objectives of the company.
Strategies of Morrisons
Growth in Excess of the Market
The company is seeking opportunities to expand its business in different areas. And the company
is working hard to increase its sales and market share by introducing a large range of products. It
has introduced various new technologies and providing training to the employees to increase the
production and sales of the company. And it is providing many facilities and services to its
customers across the UK and still, it is trying to reach to the global market and increasing its
marketing share. For the implication of the strategy of growth and development, the company
has adopted the theory of the BCG Matrix.
BCG Matrix Theory
BCG Matrix theory is also known as the growth-share matrix and it is a tool which is used to
measure the growth. It was created by Boston Consulting Group to evaluate the potential of the

business and its strategic position (Mohajan, 2017). It looks at two variables that are market
growth rate and market share and evaluate the position of the firm. Based on the analysis of
market share and market growth rate it is divided into four quadrants.
Figure 1: BCG Matrix
Dogs: In this, the products include which are having a low growth rate. The company is
identifying those products and making changes.
Question Marks: It includes the product which is a high growth market and with low market
share. It includes the possibility to grow in market share and turn into a star.
Stars: It includes the product which is high in a growth market and having a high market share.
These are the products of the company that are the market leaders in the industry. It involves the
strategic option of market penetration and market development.
Cash Cows: It includes the products which are having low growth market and having a high
market share. It contains the well-matured products and it needs to milk these products as much
as possible.
Competitive Business Strategy
A global competitive strategy has been adopted because of the increase in the competition and
Morrison has various competitors in the market. And to achieve the goals and to compete with its
rivals in the market it is very necessary to make a strong competitive business strategy. The
competition is increasing day by day in the global market and the company is continuously

working to be competitive in the market. The company has adopted the Porter’s Five Forces
Model for the competitive business strategy.
Porter’s Five Forces Model
Porter’s five forces model is the technique that is used to
This model is very useful to understand the forces of the environment and industry that affect the
strategy of the company and by analyzing that the company can make the strategy accordingly
(Carraher, 2018). Morrisons has used this model to make a competitive business strategy by
analyzing the business environment. There are five forces in this model which has been
discussed below:
Figure 2: Porter’s Five Forces
Competitive Rivalry: This keeps the look at the competitors and analyze the strength of the
competitors and compare the products and services of them with the company and do the
improvements to make the product better from the others. And make the changes in the quality
and marketing strategy of the company.

Supplier Power: It determines how easily the suppliers can increase the price of goods and
services. The number of suppliers affects the cost of the company as the less number of suppliers
make the company depend on the single supplier and it may increase the cost of the company.
Buyer Power: It refers to the ability of the customers to drive the prices down. The customers
are having great power because the number of buyers can affect the company a lot. And the
market share of the company depends upon the number of buyers.
A threat of Substitution: The availability of the substitution can affect the profitability of the
company because the customers can switch to the product of the different company. So it is very
important for the company to maintain its uniqueness and the brand image in the market and
Morrison has maintained its image by providing the various range of products.
A threat of New Entry: The position of the company can get affected by the entry of the new
company into the same market (Gomes, 2015). So to be competitive in the market Morrisons is
continuously doing the innovation in the packaging and manufacturing of the products.
3. DEVELOPMENT OF APPROPRIATE POLICIES AND STRATEGIES
The appropriate strategies and policies have been implemented and achieved by the company by
taking the following steps (Wallace, 2017).
 Identifying the needs: The company is constantly identifying the needs of the companies
in order to fulfill the requirement of the company. It also assesses its responsibilities,
activities, and the external environment to make the changes in the policies and processes
of the company and it makes the strategy according to the needs of the company.
 Gather information: The company always keep its employees up to date by providing
the current information regarding the changes in the external business environment of the
company and also the internal changes like changes in policies and processes of the
company.
 Draft policy: It is very important to analyze the complexity of the policy and strategies
before implementing it. Because the complexity in strategies can impact the processes of
the company (Council, 2017).

 Consult with appropriate stakeholders: Morrisons consult the strategies and policies of
the company with its employees, supporters, management committee members, and the
service users in order to increase the effectiveness of the policies and the strategies in this
changing environment.
 Monitor, review and revise: The company monitors the efficiency of the strategies
while implementing it in the operation and processes of the company. Morrisons always
review its strategies before the implementation in order to increase its effectiveness and
check all the loopholes in the strategies of the company relating to the global
environment of the business (Wallace, 2017).
4. RECOMMENDATION AS AN IMPROVEMENT IN THE COMPANY
Recommendation for improving the leadership style of the company
The leadership style should be developed over time through the method of trial and error. There
is the various style of leadership which can be adopted by the company (Hughes, et al., 2018).
The leaders of Morrisons always try to strengthen and improve their role as a leader. And the
company uses the following ways to improve its leadership style.
Setting examples of behavior: The leaders of the company can improve their leadership style
by setting the example of behavior. The leader should behave the way they expect from others to
behave.
Listen to employees: A good leader always listens to its employees and reacts in a fair manner
with everyone. It is very important to listen to the employees for increasing the effectiveness in
the implementation of the policies.
Recommendation for improving management practices and strategies
Data and research: The company needs to analyze the past and current data and do the proper
research relating to the changing business environment and the market condition of the company
and the rivalries. By determining the needs of the companies through the proper research the
company can improve its productivity and profitability (Aguinis, et al., 2017).